Growth in global poultry consumption is poised to return to historic levels after several years of slow progress.
Demand should grow by 2.5% to 3% worldwide this year, driven by accelerating consumption growth in many markets, said Poultry.net, reporting on the latest global Poultry Quarterly report from the research unit at Rabobank.
“Global poultry markets are performing well due to lower production costs and solid demand recovery in most markets,” said Nan-Dirk Mulder, senior analyst at RaboResearch.
“Poultry’s strong price position against other proteins is supporting rapid growth in most markets,” he said.
The report predicts that consumption in advanced economies like Europe, the US, and Japan should keep growing in line with long-term trends and better affordability. Demand for more value-added products like processed chicken and concept poultry will recover further, returning to trend levels after a few slow years.
“For the outlook, the main wild cards will be animal diseases and geopolitical tensions. Both can suddenly impact global trade flows,” it notes.
Although global trade is forecast to grow in line with rising global poultry demand, the weakness in Chinese demand will pressure chicken feet prices in particular.
“In a context with ongoing high risks, supply growth discipline is important to keep operating under balanced market conditions,” concludes Nan-Dirk Mulder.
